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REN

RenergenJSE:REN Stock Report

Market Cap

R3.1b

7D

14.3%

1Y

99.8%

Updated

18 Oct, 2021

Data

Company Financials
REN fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance0/6
Financial Health1/6
Dividends0/6

REN Overview

Renergen Limited, an investment holding company, engages in the alternative and renewable energy businesses in South Africa and sub-Saharan Africa.

Price History & Performance

Summary of all time highs, changes and price drops for Renergen
Historical stock prices
Current Share PriceR25.38
52 Week HighR11.10
52 Week LowR31.38
Beta0.28
1 Month Change20.00%
3 Month Change48.86%
1 Year Change99.84%
3 Year Change224.14%
5 Year Change81.29%
Change since IPO69.20%

Recent News & Updates

Shareholder Returns

RENZA Oil and GasZA Market
7D14.3%-0.7%1.6%
1Y99.8%37.2%21.3%

Return vs Industry: REN exceeded the ZA Oil and Gas industry which returned 37.2% over the past year.

Return vs Market: REN exceeded the ZA Market which returned 21.3% over the past year.

Price Volatility

Is REN's price volatile compared to industry and market?
REN volatility
REN Beta0.28
Industry Beta0.55
Market Beta1

Stable Share Price: REN is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: REN's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
201435Stefano Maranihttps://www.renergen.co.za

Renergen Limited, an investment holding company, engages in the alternative and renewable energy businesses in South Africa and sub-Saharan Africa. It explores for, develops, and sells compressed natural gas, as well as liquefied helium and natural gas. The company was incorporated in 2014 and is based in Johannesburg, South Africa.

Renergen Fundamentals Summary

How do Renergen's earnings and revenue compare to its market cap?
REN fundamental statistics
Market CapR3.13b
Earnings (TTM)-R42.62m
Revenue (TTM)R1.93m

1.6kx

P/S Ratio

-73.3x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
REN income statement (TTM)
RevenueR1.93m
Cost of RevenueR2.84m
Gross Profit-R917.00k
ExpensesR41.70m
Earnings-R42.62m

Last Reported Earnings

Feb 28, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.35
Gross Margin-47.64%
Net Profit Margin-2,214.03%
Debt/Equity Ratio258.9%

How did REN perform over the long term?

See historical performance and comparison

Valuation

Is Renergen undervalued compared to its fair value and its price relative to the market?

15.14x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate REN's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate REN's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: REN is unprofitable, so we can't compare its PE Ratio to the African Oil and Gas industry average.

PE vs Market: REN is unprofitable, so we can't compare its PE Ratio to the ZA market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate REN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: REN is overvalued based on its PB Ratio (15.1x) compared to the XF Oil and Gas industry average (1.1x).


Future Growth

How is Renergen forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-0.3%

Forecasted Energy industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Renergen has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Renergen performed over the past 5 years?

-20.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: REN is currently unprofitable.

Growing Profit Margin: REN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: REN is unprofitable, and losses have increased over the past 5 years at a rate of 20.3% per year.

Accelerating Growth: Unable to compare REN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: REN is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (50.7%).


Return on Equity

High ROE: REN has a negative Return on Equity (-20.65%), as it is currently unprofitable.


Financial Health

How is Renergen's financial position?


Financial Position Analysis

Short Term Liabilities: REN's short term assets (ZAR154.8M) exceed its short term liabilities (ZAR32.5M).

Long Term Liabilities: REN's short term assets (ZAR154.8M) do not cover its long term liabilities (ZAR541.5M).


Debt to Equity History and Analysis

Debt Level: REN's debt to equity ratio (258.9%) is considered high.

Reducing Debt: REN's debt to equity ratio has increased from 27.1% to 258.9% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: REN has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: REN has less than a year of cash runway if free cash flow continues to reduce at historical rates of 53.3% each year


Dividend

What is Renergen current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate REN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate REN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if REN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if REN's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of REN's dividend in 3 years as they are not forecast to pay a notable one for the ZA market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.4yrs

Average management tenure


CEO

Stefano Marani (43 yo)

6.92yrs

Tenure

R6,006,000

Compensation

Mr. Stefano Marani has been Managing Director, Chief Executive Officer and Executive Director of Renergen Limited since November 20, 2014. Mr. Marani serves as the Chief Executive Officer of Molopo. He is...


CEO Compensation Analysis

Compensation vs Market: Stefano's total compensation ($USD408.94K) is about average for companies of similar size in the ZA market ($USD494.06K).

Compensation vs Earnings: Stefano's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: REN's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: REN's board of directors are considered experienced (5.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.9%.


Top Shareholders

Company Information

Renergen Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Renergen Limited
  • Ticker: REN
  • Exchange: JSE
  • Founded: 2014
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: R3.125b
  • Shares outstanding: 123.14m
  • Website: https://www.renergen.co.za

Number of Employees


Location

  • Renergen Limited
  • 1 Bompas Road
  • First Floor
  • Johannesburg
  • Gauteng
  • 2196
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 21:45
End of Day Share Price2021/10/18 00:00
Earnings2021/02/28
Annual Earnings2021/02/28


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.